Swedbank Under Investigation By Swedish Regulator in New Probe -- Update
By Dominic Chopping
STOCKHOLM -- Swedbank AB said Friday that Sweden's financial
supervisory authority is investigating the bank for suspected
breaches of market-abuse regulations.
In a statement, the bank said the investigation covers the
period between Sep. 20, 2018, through Feb. 20, 2019, and relates to
the disclosure of insider information and the obligation to
establish an insider list in connection with the disclosure of
suspected money laundering within the company.
The Swedish FSA confirmed that it has opened an investigation.
Swedbank said it is assisting in the investigation.
Swedbank has been in the spotlight in recent years after a
Swedish TV show reported in 2019 that billions of dollars in
potentially illicit funds may have passed through the bank's
Following a probe that concluded earlier this year, the Swedish
FSA handed Swedbank a 4 billion Swedish kronor fine after finding
the lender's Baltic operations had serious deficiencies in its
anti-money-laundering measures as well as shortcomings in its
cooperation with the investigation.
A law firm hired by the bank also concluded that it had
inadequate systems to manage money-laundering risk, but said it
didn't conclude that Swedbank engaged in money laundering.
In March, Swedbank said it notified the U.S. Treasury
Department's Office of Foreign Assets Control of potential
sanctions violations regarding $4.8 million of transactions
following an internal probe.
Swedbank has undergone a leadership shuffle, including the
hiring top risk and compliance executives. The lender last year
named a new chief executive and appointed a permanent chief
compliance officer. In March, the lender named a new chief risk
Write to Dominic Chopping at firstname.lastname@example.org
(END) Dow Jones Newswires
September 18, 2020 14:14 ET (18:14 GMT)
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